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tv   KWWL News at Ten  NBC  February 29, 2016 10:00pm-10:34pm CST

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night then tapers off by 6 or 8 am. snow totals range frm 4- 6" around dubuque to waterloo with 2-4" for the rest of eastern iowa north of iowa city. from light snow or flurries linger high temperatures will be in the upper 20s and low 30s...far from the 60s we had saturday. blowing snow is expected toniniht and tuesday with a north chance snow amounts and timing with this round of snow compared to tonight (monday night). similar snow amounts and timing with this round of snow compared
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bernie madoff....m-f global and p-f-g....three large financial scandals, which garnered a lot of national attention. russ wasendorf's pfg fraud is the largest financial fraud in iowa history. $215-million dollars, stoon from thousands of customers of cedar falls-based peregrine financial group---p-f-g. if not for the move to electronic bank account balance verification, russ wasendorf, senior, might still be enjoying, what turned out to be his imaginary empire. "he loved having a skybox for bears games and a have everything. ceo of pfgbest." ." the man said to have the golden touch. "this was not a very
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everything he invested in was a loser." founder of his own on- line futures trading company. "retail futures is a very hard business." not for the man who would become known assadoff of the midwest. "russ was really taking as much money as he needed to support his lifestyle." undetected for nearly 20-years. "on the day the merry go round stopped...he was supposed to have aboutt $ 220-million in the customer account and there was only 5, roughly." 911 audio: "unknown problem. possible suicide." "here we had a suicide note, where russ wasendorf had acknowledged this fraud." wasdendorf survived that 2012 suicide attempt . regulators froze all pfg accounts. employees lost their jobs. his companies immediately collapsed into bankruptcy, but, his personal descent to rock bottom was a long journey. "educated traders become successful traders." "peregrine, really, from its infancy, never made any money." peter deegan, assistant us attorney for the northern district of
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the case, which sent wasendorf "this wasn't a successssul man." "he made a company look like it was successful for years and years and years, simply by stealing his customers' money." wasendorf's ambition expanded in 1992, using money originally financed by an investor, identified in these court documents only as as j.c. "russ stealing money from peregrine, and usinnthe money to prop uppis own lifestyle." just a year later, when j.c. wanted to pull out his money, the money was already gone. wasendorf had stolen more than a quarter of a million dollars from other early pfg customers to buy out j.c. it was the beginning of the end. "when we met russ, he was obviously a, in many way, was a larger than life character, and full of bravado. we knew wewehad problems with that firm, but, we had never seen any inclinations that there was an outright theft of customer funds." daniel roth is president of the nfa--national futures association in chicago. the nfa and commodity futures
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futures industry. "we'd had disciplinary actions against that firm. we'd hadroblems with tat firm, specifically in their sales practices, and what their sales people were saying to retail customers. and not giving adequate disclosures of the risks involved." just 5-months before the company declared bankruptcy, nfa had fined peregrine 700- pfg brokers made trade recommendations which 'maximized commissions' without regard for the best interests of their customers. "from the pfg best new accounts departmet." pfg's online futures trading platform helped build a customer base of thousands, but russ senior only took money from the large, segregated customer account, which federal rules dictate is not to "wow is a good description." that from bankruptcy trustee, ira bodenstein, in chicago, whom, after 3 and a half years, still calls it the most complicated trustee e ase he's ever had. "well, the largest account we had of record was 17-million,
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33-cents. we've returned, so far, 49-per cent. so, so far, they've gotten half of that back."" thousands of customers didn't even file claims, as some of the smallest account balances were just 3 or 4-cents, of the more than 379-million dollars invested with pfg before its bankruptcy. " when this whole thing exploded, many of the dreams of those people were crushed" chicago attorneys brooke conner and michael eidelman have been locating and selling the assets of russ wasendorf, senior. eidelman is the court- appointed receiver. "dealing with what was his fake image, his image, was looked to russ. "so, de-mistifying russ was interesting." eidelman has sold all wasendorf assets, includidi the new, 20- million dollar pfg building in
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which opened just in 2009. the sale price was just 3-million, 255-thousand dollars, sold to the real estate company of well known area developer, a-j spiegel of peosta. the building currently has a taxable value of nearly 7- millionn-but is not occupied right now. "the only thing that's really left in the estate in terms of asset at this point are some life insurance policies, and, we're still trying to determine, given the fact that russ is still incarcerated, whether or not we can monetize those policies." "here is chicago and washington, federal regulators have made significant changes, as a direct result of the pfg, wasendorf fraud." "after peregrine, we confirm those balances with the banks, holding the funds. so, we confirm bank balances for 2-thousand accounts, every single day." inside the cedar falls post office is box 706, which played a key role in hiding the fraud from regulators, who thought 706 belonged to us bank,
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senior, actually controlled it totally." "hindsight, you can always find red flags. the po box was not one of them. wasn't then. isn't now. most major banks use po boxes for confirmation requests." but, wasendorf was using that po box address; forging his us bank statements and sending them to regulators, with otally false balances,like this one. to forge his bank statements, wasendorf simply used photoshop, a fax machine, printers, and the us bank logo. russ senior would often control people by using what he would tell investigators was his blunt authority. "blunt authority, as the owner of peregrine. he was able to go in and say, look i'm the only one who gets to look at the bank statements for this particular account, and they go directly to me, and the folks he put in place in his company complied with that." us bank paid more than $62-million to sttle lawsuits relatedto the pfg case. when asked if the bank
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senior vce president dana ripley wrote: "we are pleased to have this matter resolved.....under the terms of the settlement, us bank has no additional comment." "a lot of victims in this case. not just financial victims." and, bankruptcy trustee bodenstein is gong after money wasendorf donated to non-profits, and charities, uni. iowa and more. "there's a pending action against the memorial foundation of allen hospital ...they might have used those funds for very good purposes, but, they were customer funds, and it's my view they should be returned." wasendorf sent kwwl this letter from his prison in terre haute, indiana. he did agree to do in interview for denied all of many interview requests. but, in his letter, wasendorf said he received one christmas card last year, and he also said this: if you have the opportunity, please express how very sorry i am for the problems i have caused in the cedar valley. "he certainly did
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victims. 'thhre's no question, we learned aalot, and we're a better regulator now, then we were then." and. that's because both the nfa and the commodity futures trading commssion have put new rules in place, for the protection of customer funds, and that includes much better use of new technology to safeguard and monitor customer funds. the new rules are posted on our website, as part of the imaginary empire web extra on kwwl.com. along with extended interviews and copies of several key documents in this ongoing case, u.s. marshals arrest an iowa man wanted on charges of attempted murder. authorities say 8-year-old
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a cedar rapids shooting last september -- in which a 38-year-old man was shot multiple times. smith was &ound this morning and taken into custody in ottawa, illinois after he tried to run away. he is being held in the lasalle county jail -- before being extradited back to iowa. the mother of a man accused of murdering his wife -- taking the stand today. alexander fazzino facing first degree murder charges for allegedly killing his wife... emily in their home in january of 2012. she's the daughter of the fareway grocery chain's owner -- richard1 beckwith. the defense beginning by calling fazzino's former house cleaner to the stand --elodie mcwilson. she refused to answer any questions, pleading the fifth, wheeasked if she ssd preeription drugss to emill the defense then calling joanne fazzino, alex's mother. she says she saw emily stumble, stagger and slur her words (joanne fazzino, alex fazzino's mother) "i was very concerned, it was very upsetting. i was times, you loved emily as a daughter. i loved her, i loved her, and i thought we had a very close relationship."
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the reason she wanted to take the kids and alex back to kansas city a week before emily died. she says emily was very upset with them after the were forced by court order to bring the kids back to boone. testimony continues tomorrow.. new details tonight -- police have found this young man -- rashon montgomery at the casey's off university avenue in waterloo. montogomery has autism -- and had been missing since friday. but he s back safe with his family totoight... coming up on kwwl... a local couple welcoming a new member to their famil-- on
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here's a live look at the storm track 7 live doppler radar....storm track seven's chief meteorologist mark schnackenberg has your full forecast, coming up... and when you see news - or if you have pictures or video to share... you can do that by going to our page on facebook. you can also "like" our page to stay up to date on breaking "you're watching kwwl. we've got yoo covered. with ron rick coleman. this is the kwwl
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then your eyes may see it differently. only flonase is approved to relilie both itchy, watery eyes and congestion. no other nasal allergy spray can say that. when we breathe in allergens our bodies react by over producing six key inflammatory substances that cause our symptoms. most allergy pills only control one substance. flonase controls six. and six is greater than one. complete allergy relief or incomplete. let your eyes decide.
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"now your storm track 7 forecast on kwwl." from the kwwl stormtrack 7 weather team. see the screen for your complete weather information. here is additional forecast information from the kwwl stormtrack 7 weather team: a light rain/snow mix develops this evening (7-9 pm) and transitions to all snow by 10 pm. roads will become slick this time and remain that way through tuesday morning. snow continues through the night then tapers off by 6 or 8 am. snow totals range from 4- 6" around dubuque to waterloo with 2-4" for the rest of eastern iowa north of iowa city. from iowa city south expect at trace-2". sunshine during the afternoon. high temperatures wille in the upper 20s and low 30s...far from the 60s we had
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blowing snow is expected tonight and tuesday with a north wind at 10-20 mph. the wind diminishes after 6 pm tuesday. we are tracking another chance of snow for wednesday night into early thursday morning. similar snow amounts and timing# with this round of snow compared to tonight (monday night).a light rain/snow mix develops this evening (7-9 pm) and transitions to all snow by 10 pm. roads will become slick by this time and remain that way through tuesday morning. snow continues through the am. snow totals range from 4- 6" around dubuque to waterloo with 2-4" for the rest of eastern iowa north of iowa city. from iowa city south expect at trace-2". light snow or flurries linger into wednesday morning followed by sunshine during the afternoon. high temperatures will be in the upper 20s and low 30s...far from the 60s we had saturday. blowing snow is expected tonight and tuesday with a north
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wind diminishes after 6 pm tuesday. we are tracking another chance of snow for wednesday night into early thursday morning. similar snow amounts and timing with this round of snow compared to tonight (monday night).a light rain/snow mix develops this evening (7-9 pm) and transitions to all snow by 10 pm. roads will become slick by this time and remain that way through tuesday morning. snow continues through the night then tapers off by 6 or 8 am. snow totals range from 4- 6" around dubuque to waterloo with 2-4" for the rest of eastern iowa north of iowa city. from iowa city south expectctat trace-2". light snow or flurries linger into wednesday morning followed by sunshine during the afternoon. high temperatures will be in the upper 20s and low 30s...ffr from the 60s0swe had saturday. blowing snow is expected tonight and tuesday with a north wind at 10-20 mph. the wind diminishes after 6 pm tuesday.
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of snow for wednesday night into early thursday morning. similar snow amounts and timing with this round of snow compared to tonight (monday night).a light rain/snow mix develops this evening (7-9 pm) and transitions to all snow by through tuesday morning. snow dubuque to waterloo with 2-4" the 60s we had saturday. blowing tonight (monday night). it happens just once every four years - - but for a select few - - leap select few - - leap day can be life changing. kwwl's jessica hartman meeting one of the areaeas leap day babies. at last check - - allen hospital had had just 2 leap day babies - - covenant hadn't had any. making this little guy you are about to meet pretty special. meet leaping landry - - leaping into this world four days early. something mom & dad didn't expect. "he asked me if i could wait an other day so we wouldn't have a now that he is here - - the big question what do you do without an offical birthday most years. "right away he said when do you celebrate? do you celebrate
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he said he would rather celebrate in march and i like february so we will disagree on that for sure." and leaping landry can expect to get tired of hearing age jokes through out his life. "my aunt said it best. she said that you are forever going to be young.g.so even when you are old, maybe you feel young." but wouldn't we all like to be forever young. the mother and baby are both healthy and doing great tonight. coming up on kwwl... a final goodbye or i-s-u georgege niang -- playing in his last game at hilton coliseum. you're watching kwwl. we've got you covered in cedar rapids,
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february is huge for us. all our handcrafted classic footlongs are just $6 each. the media is going a little crazy. "sub-mageddon" with an incredible amount of accumulation inside... that now seems... enjoy all our classic footlongs
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oklahoma state -- kwwl's mark woodley was there as one of the best in cyclone history played his final game in front
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ron - tonight was a chance for - of course - most notably - who's won more games wearing the isu jersey than anyone in school history - niang - plus fellow seniors adbel nader and jameel mckay got the love prior to the game - but then it was down to business - nader stealing the show early - after the pick - gets the slam on the other end - cyclones up 3 - later all 3 seniors playing a part in the oop to mckay - iowa state would lead 27-25 at the break - second half - they'd come out of the gate firing - niang - part game - iowa state taking over - and nader provides the capper - comes as close as possible to legally murdering a man - nader finishes with 19 - -- senior class in cyclone history - got to bask in a 58-50 victory -- "i know when this season's ended, we're going to be remembered for a banner that goes up there. thank you guys so
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"these two guyuy right here, i've built such a strong relationship with them the past 3 years since i've been here. the energy and positivity that's always around this place, it's a how we feel about cyclone nation. the love and support that we get is second to none, and i can't thank them enough." after the game during senior speeches - steve prohm introduced georges niang as the next head coach of the iowa state cyclones - as you can imagine - that went over pretty well. in ames - mark woodley - kwwl news coming up next... girls high school quarterfinals -- turkey valley taking on mount ayr in 1-1-.. and kee high going up against burlington-notre dame. all the highlights coming
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pair of teams in the upper iowa conference -- the next step for kee high and top ranked turkey valley -- pick up their first ever wins -- turkey valley opening up against mount ayr -- looking great early -- sadie nymeyer hits from beyond the arc -- trojans up four -- and keeping it going as kayla schaufenbuel gets the "and one" they'd lead 33-25 at half -- down the stretch -- shelby riecks helps hold off a mount ayr rally -- riecks
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turkey valley moves on with a 55, 51 win -- i think i just knew that we had to get going. we had to start that's another thing that kept us going. kee high got off to a great start against 4th ranked burlington-notre dame -- mikayla gavin working hard on the inside gets the two for an early 7 point edge -- later -- ashley schwartzhoff working the boards -- gets the bucket and the foul -- kee led 25-16 at half -- but burlington- notre dame rallied in the second -- riley kilbride spots up and hits the three -- kee takes an early exit from the tourney -- falling 56, 44 -- springville -- last year's runner up -- opened up another run toward finals night against kingsley-pierson -- and the orioles got right after it -- madi wagaman inside -- gives them the 7 point edge -- mikayla nachazel getting it done as well -- using the glass -- 20 to 11 springville -- then -- it's nachazel again -- add two more -- she had 24 in
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the orioles punch their ticket to the semis with a 60 to 53 win -- class 3-a boy's basketball for the right to go to state. dubuque wahlert knocking off waverly-shell rock 50 to 45. and it's cedar rapids xavier taking down mount pleasant 63 to 47.
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pet moments are beautiful, unless you have allergies. then your eyes may see it differently. only flonase is approved to relieve both itchy, watery eyes and congeseson.
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when we breathe in allergens our bodies react by over producing six key inflammatory substances that cause our symptoms. most allergy pills only control one substance. flonase controls six. and six is greater than one. complete allergy relief or incomplete. let your eyes decide.
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test. test. test. [ cheers and applause ] >> steve: from studio 6b in rockefeller center in the heart of new york city, it's "the tonight show starring jimmy fallon." tonight, join jimmy and his guests -- steve martin and edie brikell. martin freeman. musical guest, the cast of broadway's "bright star." and featuring the legendary roots crew. >> questlove: 427. >> steve: and now, here he is,

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